Hi Joe and thanks for your post.
I do agree with the others that, right now, we're seeing as much value retention in the condominium market as we are in some single family homes, and, even more so, in areas where--like Los Altos, the location on the peninsula coupled with the outstanding schools, make the homes even more desirable to present and future home buyers.
I also agree with Dave B. that Peninsula Real's location along well traveled and sometimes quite noisy El Camino Real does make the community less desirable than in other parts of the town. The properties are new, but I'm always leary of podium condominiums. I've not yet seen one that doesn't, in the first five years of its existence, have major water leaking problems, issues with shared plumbing, garage maintenance issues related to security doors, security breaches, leaks in the garage and planters, and eventual issues with the seams between the post-tension slabs. As Allyson noted, one of the biggest resident complaints in this type of housing is the lack of parking and the lack of storage for larger items such as bicycles, sports equipment and personal stuff.
All of this often translates into skyrocketing assessments for the residents, as maintenance issues and costs increase over time--sometimes quite steeply early in the life of the HOA.
Although it may seem trivial, high assessments can make the building and the home harder to sell. With post tension slab buildings often having assessments that are as much as two times higher than surrounding communities that have separate or enclosed garages. Unless the buyer is truly capitivated by the building's amenities and floor plans, these types of condominiums often become a second choice to those buildings that are more "townhome" in design with a traditional garage and building footprint.
As the others mentioned, you should bring your agent with you and you should carefully evaluate this property against the surrounding homes that may be located slightly further away from the busy street, and with garages to see how you feel about the value and overall long term desirability of this investment.